Employment litigation may fall in 2009

Changes to the tribunal system could stave off an employment law nightmare in 2009, according to experts at leading law firm, Cobbetts LLP.

With unprecedented numbers of redundancies expected in the coming year, there is widespread concern that employment litigation will skyrocket as people adopt a ënothing-to-loseí attitude. However, changes to the tribunal system, due to come into force in April, combined with more sympathetic employees and lateral thinking by employers, may help to stem the tide, according to employment specialists at Cobbetts LLP.

The repeal of the Statutory Disciplinary Procedures comes as a result of the Gibbons Review, which aimed to resolve matters between employers and employees without recourse to legal proceedings. The abolition should reduce the number of claims brought – and won – as a result of failures to follow the process to the letter rather than as a result of genuine merits or otherwise of the dismissal itself.

Judith Watson, head of employment at Cobbetts LLP, said: ìItís inevitable that we will see more and more redundancies this year as businesses continue to feel the effect of the economic downturn. However, more redundancies wonít necessarily mean more litigation, particularly given the abolition of the Statutory Disciplinary Procedures in April.

ìThe increased understanding of the recession means that many people may take a more sympathetic view when a company needs to make cuts, but employers should always make the effort to look at other alternatives, such as sabbaticals or flexible working options, before making a firm decision. Making redundancies costs money, and it is certainly not the best choice for every workforce.î